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AVEO (AVEO) Reports Narrower-than-Expected Loss in Q3

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Cambridge, MA-based AVEO Pharmaceuticals, Inc. is a development-stage biopharmaceutical company that focuses on the development of treatments targeting cancer using its proprietary human response platform.

Tivozanib is the lead candidate in AVEO’s pipeline. Currently, tivozanib is under review in the EU for the first-line treatment of renal cell carcinoma (RCC). The company has also initiated a phase III study on tivozanib for the treatment of refractory advanced RCC.

AVEO has several other candidates in its pipeline including ficlatuzumab (anti-HFG antibody; phase II – non-small cell lung cancer/NSCLC) and AV-203 (ErbB3 (HER3) inhibitory antibody; phase I completed – advanced solid tumors) among others.

Being a development-stage company, the company does not generate product revenues yet. Instead it earns revenues in the form of collaboration revenues and milestone payments.

With AVEO not having any approved product in its portfolio, investor focus will remain on the progress of the lead candidate apart from other pipeline related updates.

AVEO’s track record has been impressive with the company beating expectations in all the four trailing quarters with an average positive earnings surprise of 57.14%.

AVEO PHARMACEUT Price and EPS Surprise

 

AVEO PHARMACEUT Price and EPS Surprise | AVEO PHARMACEUT Quote

Currently, AVEO has a Zacks Rank #3 (Hold), but that could definitely change following the company’s earnings report which was just released. We have highlighted some of the key stats from this just-revealed announcement below:

Earnings: AVEO posted narrower-than-expected loss in the third quarter of 2016. Our consensus called for a loss of 12 cents per share, and the company reported a loss of 7 cents per share.

Revenues: Collaboration revenues in the quarter were almost $1.0 million decreased significantly from $15.2 year over year.

Key Stats:AVEO initiated a phase I/II TiNivo trial evaluating tivozanib in combination with  Bristol-Myers Squibb’s anti-PD-1  therapy, Opdivo (nivolumabfor the treatment of advanced RCC in August this year.

Research and development costs  reported  $4.4 million compared to  $4.5 million in year ago quarter.

General and administrative costs  reported  $2.1 million compared to $2.2 million in year ago quarter.

Check back later for our full write up on AVEO results later!

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